Official announcement from New York City government or MoCaFi

NYC Expands MoCaFi No-Bid Migrant Debit Card Program Amid Cost Concerns

Jul 7, 2024, 02:22 PM

New York City is expanding its pre-paid debit card program for migrants, allocating millions of dollars to support the initiative. The program, which involves a no-bid contract with MoCaFi inked in January, has faced criticism for its high administrative costs. In the first half of the one-year contract, NYC taxpayers paid or owe MoCaFi $211,000 for $648,000 in payouts to migrants, resulting in a 33% fee rate. Through late June, the program has racked up about $850,000 in costs, with the city considering extending the contract to reduce these fees. Critics argue that the program's design has led to excessive costs, benefiting the vendor more than the migrants.